ANKARA, Jan 23 — Both oil benchmarks increased today, with a weaker US dollar and tension in the Middle East fuelling concerns about global supply disruptions, reported Anadolu.
The international benchmark crude Brent traded at US$80.16 (RM379) per barrel at 09.51 am local time (0651 GMT), a 0.12 per cent rise from the closing price of US$80.06 a barrel in the previous trading session yesterday.
The American benchmark, West Texas Intermediate (WTI), traded at the same time at US$74.85 per barrel, up 0.12 per cent from yesterday’s close of US$74.76 per barrel.
The decline in the US dollar against other currencies aided the rise in oil prices by making oil cheaper for buyers trading in foreign currencies. The US dollar index, which measures the US dollar’s value against other currencies, decreased by 0.28 per cent to 102.834 at 9.34 am local time (0634 GMT) compared to Monday’s closing price.
The conflict in the oil-rich Middle East is putting supplies at risk and pushing prices higher.
Meanwhile, a supply drop in the US, the world’s largest oil consumer, aided price increases on Tuesday.
Due to the cold weather in the US, there are concerns that refinery operations will be affected, resulting in a fall in oil production.
Oil production in North Dakota, one of the largest oil-producing states in the country, declined by half as temperatures dropped to minus 17 degrees Celsius.
Strong winter storms killed over 80 people in many US states, destroyed buildings and cut power. Authorities have warned of the possibility of another bout of snow and ice sweeping in for the weekend. — Bernama-Anadolu
